NBF Q3 net profits surge 58%

National Bank of Fujairah today announced a 58 per cent leap in its third quarter profits, from Dh47.8 million in Q3 2010 to Dh75.7 million in the latest quarter, according to its financial statement posted on the Abu Dhabi exchange, where the bank is listed.

The bank announced a 44 per cent decline in provisioning losses for Q3 2011 to Dh28.55 million, down from Dh51.32 million for the same quarter last year. NBF’s nine-month profits are up 54 per cent to Dh200.9 million, while its provisions are down almost 39 per cent to Dh91 million for the same period.

“We are pleased to see the bank’s strong progress towards its target operating performance and outperforming the industry on the back of its core business,” noted Easa Saleh Al Gurg, KCVO, CBE Deputy Chairman.

“The loan book saw an encouraging growth of 15 per cent, which is significantly greater than the industry average. The bank continues to believe good business is very much alive in the UAE despite the wider global challenges and will continue to leverage these opportunities,” he added.

Operating income increased by 12.7 per cent to Dh475.2m for the first nine months of 2011, compared to Dh421.7m in the same period of 2010.

NBF’s net interest income of Dh317.5m registered a growth of 19.4 per cent over last year’s Dh266m. This, the bank said, reflected a strong performance in its core business and effective balance sheet management.

Operating expenses rose by 20.9 per cent from Dh155.2m to Dh187.6m as a result of further investment in new initiatives. The cost-to-income ratio was 39.5 per cent.